Fresh & Easy makes plea to shoppers

In a plea to stop shoppers from jumping ship, Fresh & Easy sent a memo to its loyal customers Thursday asking them to stick with the grocery despite reports of the chain's impending demise.

The El Segundo-based supermarket company, owned by British retailer Tesco, sent an email to shoppers addressing the company's future. The memo comes more than a month after Tesco announced plans to seek an exit strategy for the struggling five-year-old chain.

But the memo clearly states that stores are not closing.

"Our parent company Tesco is conducting a strategic review of Fresh & Easy – they're looking at all options to find the best outcome for the neighborhood market that you – and we – have come to love," the email said. "While we don't know exactly what that outcome will be, or if Tesco will continue to own the company, we're confident that Fresh & Easy can continue to be your favorite market. We want to assure you: we don't have plans to close stores."

The memo went on to say that the supermarket was "committed to providing delicious, wholesome and affordable food every day" to its customers.

"We're still Fresh & Easy; open for business with everything that you enjoy about our store, with even more exciting things to come. That's why we're going to keep on fighting the good food fight."

Last month, Tesco CEO Philip Clarke said the Fresh & Easy business had many positives, but "its journey to scale and acceptable returns will take too long relative to other opportunities."

Supermarket analysts have called Fresh & Easy a pricey U.S. experiment for Tesco. To date, Tesco has invested roughly $1.6 billion in the chain, which has not turned a profit in five years.

Last year, Fresh & Easy closed stores in Anaheim and Fountain Valley. The Anaheim store at 3170 W. Lincoln Ave. was the first Fresh & Easy supermarket to open in Orange County.

In January, Fresh & Easy was dealt another financial blow when a San Diego County judge fined the company more than $800,000 for overcharging shoppers on advertised grocery items including meat and seafood. Fresh & Easy said that the mistake was unintentional and that the company has taken measures to prevent future errors.